Check my work Vernon Construction Company began operations on January 1 Year 1 when it acquired $16.000 cash from the issuance of common stock, During the year, Vernon purchased $2.700 of direct raw materials and used $2.500 of the direct materials. There were 110 hours of direct labor worked at an average rate of $7 per hour paid in cash. The predetermined overhead rate was $3.00 per direct labor hour. The company started construction on three prefabricated buildings. The job cost sheets reflected the following allocations of costs to each building Direct Labor Direct Materials $ 700 900 Job 1 Job 2 Job 3 The company paid $53 cash for indirect labor costs. Actual overhead cost paid in cash other than indirect labor was $259. Vernon completed Jobs 1 and 2 and sold Job 1 for $1690 cash. The company incurred $130 of selling and administrative expenses that were paid in cash Over- or underapplied overhead is closed to Cost of Goods Sold. Required a. Record the preceding events in a horizontal statements model. The first event for Yeart has been recorded as an example c. Record the closing entry for over- or underapplied manufacturing overhead in the horizontal statements model, assuming that the amount is insignificant. d. Prepare a schedule of cost of goods manufactured and sold, an income statement, and a balance sheet for Year 1 Complete this question by entering your answers in the tabs below. Reg D Inc Reg D Bal Req A and C Reg D CGM Sched Sheet Record the preceding events in a horizontal statements model. Record the closing entry for over or underapplied mar amount is insignificant. The first event for Year 1 has been recorded as an example. (Record each cost category for th raw materials, direct labor, and manufacturing overhead respectively into one entry for each job. Enter any decreases Assets Raw Work Fred Cash Manuching 16 000 . . a. Record the preceding events in a horizontal statements model. The first e c. Record the closing entry for over- or underapplied manufacturing overhea amount is insignificant. d. Prepare a schedule of cost of goods manufactured and sold, an incomes Complete this question by entering your answers in the tabs below. Reg D CGM Reg A and Sched Reg D Inc Stmt Reg D Bal Sheet Prepare a schedule of cost of goods manufactured and sold for Year 1. VERNON CONSTRUCTION COMPANY Cost of Goods Manufactured and sold for Year 1 Raw materials available Raw materials used Total manufacturing costs Total work in process inventory Cost of goods manufactured Goods available for sale Cost of goods sold